FBM KLCI opened at 1,476.53 as compared to last Friday’s close of 1,474.38.
At the time of writing, the main index was traded in the range of 1,474.46 – 1,477.29.
AT 9:28am, the KLCI gained 1.78 points or 0.12% at 1,476.16
Technical Analysis on FKLI (KLCI futures)
RHB Retail Research has maintained long positions on FKLI.
After attempting to rebound last Friday, the FKLI moved sideways yesterday and closed 5 points lower at 1,472 points. It opened at 1,471 points, and oscillated between 1,467.5 points and 1,477 points high to close just 1 point above the opening level.
As yesterday’s neutral candlestick is within the Friday’s long bullish candlestick, It is expected the positive rebound to continue in the coming sessions – re-testing the immediate resistance of 1,485 pts.
The medium-term momentum should be bullish, if this threshold is breached and if the index pushes north further towards the 200-day SMA line, then the 1,517.5-point resistance. Conversely, if the FKLI falls below the 1,459-pt support, this will weaken the Bullish Marubozu formed on 24 Nov, and attract strong selling interest. Currently, backed by a mildly positive RSI at 52% level, the research house holds the opinion that the bulls will defend the immediate support by climbing above the immediate resistance. As such, the research house sticks to a bullish bias for now.
Traders are advised to remain in the long positions initiated at 1,475.50 pts (11 Nov’s close). To manage the trading risks, the stop-loss is set at 1,459 points.
The immediate support is at 1,459 points – 29 Nov’s low – followed by 1,445 points. Towards the upside, the immediate resistance is unchanged at 1,485 points – 25 Nov’s low – followed by 1,517.5 points, which was the high of 25 Nov.